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Friday, June 5, 2009

USD/JPY Trade Update for 040609

At the moment, you can see that it is more profitable to be trading for the bearish price direction on the USD/JPY.

The USD main momentum channel is finished. What is left now is the blue trend line that can have the price stay at least a bit longer within JPY territory. A significant excess of this trend line means that the price is heading on a bearish direction towards Target 2.

Anything before that is an opportunity for the USD to continue struggling to exit JPY territory which is shown as the higher red trend line.

By having the price exceed 98.218, then the price will be poised to challenge resistance of the higher red trend line.

The USD/JPY price is forming a triangle and with triangles a.k.a. consolidation means a lot of zig-zag price play within a small range. Two professional FOREX trading companies are only doing short term trades in both bear and bull directions respectively.

Overall in the technical perspective, the current consensus for USD/JPY is a full 3/3 sideways bias.

Disclaimer: Trading in the FOREX market & other forms of investments involves risk. This information should not AT ALL be viewed as investment recommendations. The charts & information provided here are not meant for investment purposes & only serve as technical examples.